EMEA Base Oil Price Report 05.10.21

EMEA Base Oil Price Report 05.10.21

European, Middle Eastern and African base oil markets are steady with only marginal erosion to prices across the various base oil types. API Group I is still taking the brunt of weaker price levels, with solvent neutrals and bright stock continuing the downward trend, although this movement is not quite so marked as seen around a month ago.

Some pundits suggested that Group I demand is demonstrating inherent weakness in the face of continued COVID-19 outbreaks and lockdowns aimed at containing the disease. Group II oils could also face some downward pricing pressure due to a growing delta between prices for the two API groups, which has reached extreme levels. Group I values have not dragged down Group II prices yet, although the latter have come off summer highs. Group III base oils appear to be resistant to any form of price erosion, with levels still climbing, and a firmer number asked by sellers in this sector. There may be a period of stability for API Group III, with some postulating that prices may have reached their zenith and may stabilize around current levels. read more